Calgary Home Sales Decline 13% in the Month Of June

It's funny in this business. After running full tilt for the past couple of years with an insane market, when it finally takes a breather, it can feel like running off the edge of a cliff—imagine the coyote and the roadrunner, where the coyote runs off the cliff, legs still spinning, and then drops? That's the feeling we had at the beginning of June. The new numbers for the last month confirm exactly what we were sensing: sales in the city have actually decreased for the first time in a long while, showing a 13% reduction in the total number of homes sold from June 2023 to June 2024.

Now, there needs to be an asterisk added to this because June 2023 saw the highest sale numbers for any June in Calgary's history (we can’t break records every month, can we?). Still, it's actually welcome news for buyers to see home sales pulling back a bit. This doesn't mean the market is crashing; far from it. What we're observing is that instead of most buyers facing competition with six or seven offers, they're now often only up against one or two, or in some great circumstances, they can negotiate on homes again. There's less competition for each house, which is exactly what this market has needed for a while.

Even though sales have slowed a little bit, prices are not decreasing. In fact, the benchmark price in the city has risen by 9.5% in the last 12 months, despite the decline in sales. The question now is: will this trend continue? This cycle is common—explosive periods are followed by market plateaus where the market takes a breather. At this juncture, I would characterize this as a market plateau. With the continued influx of people moving to Alberta and a shortage of total housing units (there is still only 1.4 months of total supply in the market), we remain firmly in seller’s market territory. However, if this trend persists for three consecutive months, it could mark the shift in the market many buyers have been anticipating. We’ll have to wait and see what unfolds over the summer and into the fall.

Have an awesome Stampede week and a fantastic July! We appreciate you taking the time to read our Street View this month, and we look forward to chatting to you soon!

Cheers,

KR

P.S. If you want to check out all the latest stats from the Calgary Real Estate Board, click here.

Ken Rigel

CEO and Team Lead

Ken Rigel Group @ EXP Realty

O: 403 207 1748

C: 403 835 6338

email: [email protected]